Problem 12-8 (LG 12-5) Smallville Bank has the following balance sheet, rates earned on its assets, and rates paid on its liabilities. Rate Earned (3) Balance Sheet (in thousands) Assets Cash and due from banks $ 7,900 Investment securities 41,000 Repurchase agreements 31,000 Loans less allowance for losses 99,000 Fixed assets 29,000 Other earning assets 5,000 Total assets $212,900 Liabilities and Equity Demand deposits $ 17,000 NOW accounts 88,000 Retail CDs 37,000 Subordinated debentures 33,000 Total liabilities 175,000 Common stock 22,000 Paid-in capital surplus Retained earnings 11,000 Total liabilities and equity $212,900 Rate Paid (8) If the bank earns $139,000 in noninterest income, incurs $99,000 in noninterest expenses, and pays $2,690,000 in taxes, what is its net Income? (Enter your answer in dollars, not thousands of dollars.) Net income $ 26,900